Iridium CommunicationsHAM:6IC -1.94%74 ROA % is 3.43% as of Mar. 2026, which is 717% above its 10-year median of 0.42. GuruFocus rates HAM:6IC with a GF Score™ of 74/100 and a GF Value™ of €29.55 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 372 Telecommunication Services companies, Iridium Communications ranks better than 59.68% on this metric.
ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Iridium Communications's annualizedNet Income for the quarter that ended in Mar. 2026 was €74.7 Mil.
Iridium Communications's average Total Assets over the quarter that ended in Mar. 2026 was €2,176.0 Mil. Therefore, Iridium Communications's annualized ROA % for the quarter that ended in Mar. 2026 was 3.43%.
The historical rank and industry rank for Iridium Communications's ROA % or its related term are showing as below:
HAM:6IC'
s ROA % Range Over the Past 10 Years
Min: -4.24 Med: 0.42 Max: 6.42
Current: 4.12
During the past 13 years, Iridium Communications's highest ROA % was 6.42%. The lowest was -4.24%. And the median was 0.42%.
HAM:6IC's ROA % is ranked better than 59.68% of 372
companies
in the Telecommunication Services industry
Industry Median: 2.745
vs HAM:6IC: 4.12
ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A banks ROA % is typically well under 2%.
Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:
Note:
The Net Income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.
E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Telecom Services subindustry, Iridium Communications's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Iridium Communications ROA % vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Iridium Communications's ROA % distribution charts can be found below:
* The bar in red indicates where Iridium Communications's ROA % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
ROA % is displayed in the 30-year financial page.
Iridium Communications (HAM:6IC) has a ROA % of 3.43% as of Mar. 2026. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Iridium Communications and its competitors. This is 717% above median its historical median of 0.42. According to the industry distribution chart, Iridium Communications ranks #150 out of 372 companies in the Telecommunication Services industry, placing it in the top 40.3%.
Is Iridium Communications' ROA % too high?
Iridium Communications' current ROA % of 3.43% is 717% above median its 10-year median of 0.42. The Telecommunication Services industry median ROA % is 2.75. Iridium Communications' value of 3.43% is 25% above this industry median. Based on the distribution chart, Iridium Communications ranks #150 out of 372 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, Iridium Communications has a GF Score™ of 74/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Iridium Communications' ROA % compare to LBRDA and TDS?
According to the Telecommunication Services industry distribution chart, Iridium Communications ranks #150 out of 372 companies for ROA %. This puts Iridium Communications in the upper half of its industry. The industry median ROA % is 2.75. Iridium Communications' value of 3.43% is 25% above this benchmark. While the company's 10-year median is 0.42 vs. the industry median of 2.75, Iridium Communications has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROA % for a Telecommunication Services company?
The median ROA % among Telecommunication Services companies is 2.75, based on 372 companies in the industry. Companies in the top quartile (top 25%) have a ROA % significantly above this median, while those in the bottom quartile fall well below. However, ROA % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Iridium Communications's current ROA % of 3.43% is 25% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROA % mean?
A high ROA % can signal that a stock is expensive relative to its fundamentals. Return on assets is the ratio of current-period net income to average two-period total assets. View historical data on Iridium Communications and its competitors. For the Telecommunication Services industry, the median ROA % is 2.75 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Iridium Communications's current ROA % is 3.43%, which is 717% above median its own 10-year median of 0.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Iridium Communications stock overvalued right now?
Based on GuruFocus' analysis, Iridium Communications (HAM:6IC) is currently considered Modestly Overvalued. The stock's GF Value™ is €29.55, compared to a current price of €35.30 — trading 19.5% above its estimated fair value. The current ROA % is 3.43%, which is 717% above median its 10-year median of 0.42 and 25% above the Telecommunication Services industry median of 2.75. Iridium Communications' overall GF Score™ is 74/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROA % calculated?
ROA % is calculated from a company's financial statements. For Iridium Communications (HAM:6IC), the current ROA % is 3.43% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Iridium Communications (HAM:6IC) Overvalued in 2026?
Based on GuruFocus' analysis, Iridium Communications stock appears to be overvalued.
The current stock price of €35.30 is trading 19.5% above its estimated GF Value™ of €29.55.
GuruFocus considers Iridium Communications to be Modestly Overvalued.
Key valuation signals for HAM:6IC:
ROA %: 3.43% (717% above median its 10-year median of 0.42)
GF Value™: €29.55 vs. price of €35.30 (19.5% above fair value)
Industry Position: 25% above the Telecommunication Services median (#150 of 372)
No single metric tells the full story. See the HAM:6IC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Iridium Communications Inc is the commercial provider of communications services offering true globalised coverage, connecting people, organizations, and assets to and from anywhere, in real time. The company is a provider of mobile voice and data communications services through a constellation of low-earth-orbiting satellites. Iridium's solutions are ideally suited for industries such as maritime, aviation, government/military, emergency/humanitarian services, mining, forestry, oil and gas, heavy equipment, transportation, and utilities. Iridium also provides service to subscribers from the U.S. Department of Defense, as well as other civil and government agencies world-wide. The Company operates in one business segment, providing satellite communications services and products.
74GF Score
Get the complete analysis for HAM:6IC
ROA % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
HAM:6IC has been successfully added to your 
